Databricks’s Product and Growth in Business
Databricks is a data analysis AI startup that has seen incredible success since its launch. The startup offers data analysis and engineering built for companies of all kinds and is powered by AI technology. The startup offers four major services: reliable data lakes and high-performance pipelines, data science and machine learning across the entire lifecycle, business analytics to drive insights, and finally, enterprise security and administration.
The startup product’s technology has proven to be extremely effective, and the incredible business growth and major list of companies who count on Databricks prove it. In fact, in 2020, the company earned an annual recurring revenue of $425 million, a 75% growth on the same figure in 2019. This growth is largely due to the list of high-profile businesses that rely on Databricks such as Regeneron, CVS Health, H&M, HSBC, Nationwide, and T Mobile, among many others. The strong annual recurring revenue, combined with the massive companies that the startup has amongst its client base, has attracted a major list of investors.
Databricks’s Funding Round and Public Valuation
In Databricks’s Series G funding round, the company raised an unbelievable $1 billion in capital. The funding round was led by Franklin Templeton with participation from Fidelity, Whale Rock, AWS, Alphabet via its CapitalG vehicle, Salesforce Ventures, Microsoft,
a16z, T. Rowe Price, Tiger Global, BlackRock, and Coatue. This newest funding round has brought the AI business up to an incredible valuation of $28 billion. The company plans to use this funding to fuel the marketing and business expansion as well as continually reinvest in research and development to ensure that the company does not fall behind.
When commenting on the current market and Databricks’s place in it, CEO Ali Ghodsi said, “All these other enterprises out there are going to do the same thing: They’re going to be able to use data and AI in a strategic way just like Google did over the past 10 years or they’re going to be replaced. So our job is to democratize that.”
The business growth and strong funding that the AI startup has earned makes Databricks one of the most important companies in the data analytics market, and that looks unlikely to change anytime soon.
About the Author
Tom Price is a writer focusing on Entertainment and Sports Features. He has a degree from NYU in English with a minor in Creative Writing. He has been previously published for Washington Square News, Dignitas, CBR, and Numbers on the Boards.